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Economy Watch

Where are the J-O-B-S….?

The Bureau of Labor Statistics (BLS) recently announced that net employment increased by 431,000 in May, and that the unemployment rate fell to 9.7 percent from 9.9 percent.

This appears to be good news; however 411,000 of those new jobs are temporary government jobs associated with hiring for the census.  Meanwhile, the private sector created only 41,000 jobs. The private sector labor market remains far from a recovery.

Why has private sector job creation seemingly stalled? Chiefly, it’s because layoffs have now simply returned to their pre-recessionary levels.

Policy suggestions on “stimulating” jobs include everything from freezing spending and rescinding unspent stimulus funds, to reducing taxes on U.S. companies’ foreign earnings.

So - where are the jobs?  In time, they will be found again in the private sector; after the summer break, and once a clearer picture emerges on the political front this fall.

Key industries for job opportunities:  government, healthcare and energy.

Key regions: This year's FORBES survey, measuring growth from January 2009 to January 2010, found only 13 metros with any growth.  With the exception of Austin, Texas, the most prominent pattern of “where,” is the almost total domination of smaller communities. At the top of the FORBES list stands No. 1 Jacksonville, N.C., whose economy grew 1.4 percent, paced by 3.3 percent growth in government jobs.  Their number two:  Bismarck, ND.

Click here to view the FORBES information.

Economic Headlines

Hiring Recovery Sputters

U.S. Debt Nears Key Threshold

Credit Markets: The Default Deluge

What’s Next for Stocks, M&A and the Dollar?

Industry Updates

CNBC REPORT:  “Semiconductor Revenue to Jump 27%”

RETAIL TRAFFIC:  “Luxury Retailers turn Attention back to Core Customers”

WALL STREET JOURNAL:  “Auto Sales Rose in May”

BUSINESSWEEK:  “The New Reality of the TWITTER Ecosystem”

BUSINESSWEEK:  “In China, IPOs Defy the Stock Market Slump”

In The Spotlight...

“WELCOME” – NANCY FALLEN, Manager of Operations

MAXIMUS is pleased to welcome our newest team member, Nancy Fallen. Nancy is an immediate-past member of the Biggs-Cooper-Hughes team at Cushman & Wakefield of Texas, Inc. and brings several years of experience in business process management and research and analysis in the areas of commercial real estate, site selection and industry segmentation.

Nancy previously worked for Ennis Automotive, Inc., an international automotive parts remanufacturer on the management team, leading continuous improvement projects, marketing and customer service initiatives.

Nancy will provide internal support to overall operations for MAXIMUS, oversee research and analysis, and lead client management in the areas of business process improvement, reports and communication.

Community Involvement

Justine BarnetteMAXIMUS is excited to be involved with select community organizations, including:  The First Tee, USTA/Invest in a Child, and The Greater Dallas Boys & Girls Club.

Recently, MAXIMUS proudly supported one of this year’s SCHOLARS from the Boys & Girls Club.  MAXIMUS was a sponsor at the Club’s annual TOPPS program. The event is a fundraising dinner that provides the opportunity for Boys & Girls Club members to dine with corporate sponsors and community leaders.  It is designed to honor the students and to bring the supporters of the Club in direct contact with these outstanding individuals.

MAXIMUS proudly hosted one of this year’s Outstanding Seniors, Justine Barnette – seen in this photo.  Justine has excelled in school and in life.  She graduated from Grand Prairie High School – she served as president of the Keystone Club, was a member of National Honor Society, and was selected as Grand Prairie Youth of the Year.

Justine plans on attending either Texas Christian University or Texas Tech University this Fall – she wants to pursue a business marketing degree.

MAXIMUS is definitely keeping an eye on this terrific young lady, and is proud to be associated with her, and the Boys & Girls Club of Greater Dallas.

Monthly Outlook

June 2010

June begins hurricane season.  Need we say more…?  It is typical of any year that June is a bit unpredictable, much like hurricane season – however, this year is perhaps less predictable than any year prior.

The weather experts all predict that this will be a highly “active” hurricane season – might this also be a predictor of our business and economic climate?  Likely.

As if the European market turmoil, financial regulatory debate, stock market hits, bigger job loss numbers than expected, a noticeable increase in stateside terrorism activity, an on-going war or two weren’t enough…this year, there’s the Gulf Oil Spill.

It’s enough to make anyone consider creating a co-op and buying that island somewhere.  Whoops – wait a minute…that island just might be in the path of a hurricane.  Sigh.

While there is still likely a Summer reprieve from activity surrounding policy movement and market highs & lows (this appears to be a correction to the ‘manageable’ 9500 mark), have no doubt – ebb & flow is very definitely ahead, both in the Gulf and on the shores of Wall Street and at 1600 Pennsylvania Avenue.

This month the outlook is:  Unpredictable.  Therefore:  Be Prepared.  Watch for flying objects.  Don’t be surprised, or caught off-guard.  Hurricane season is here…things happen.  Weather and market occurrences happen, and they pass.  You clean up.  You re-build.  You re-build with stronger materials, and with more forethought for what could happen.  This is a good thing.

June 2010 will probably produce some big, strong ‘hits.’  Stay Tuned and Be Prepared.